Italian luxury group Tod’s reported net revenue of €966 million for fiscal 2025, down 7.7% from the previous fiscal year. Excluding the impact of exchange rates, the decline narrowed to 5.7%.
The group said that continued weakness in Greater China had a decisive impact on its performance. Sales in the region fell 15.5% to €229.6 million, and its share of the group’s global revenue dropped by more than two percentage points, from 25.9% in 2024 to 23.8%.
The decline in sales directly weighed on the group’s overall profitability. EBITDA (earnings before interest, taxes, depreciation and amortisation) stood at €144.7 million, down from €173.2 million in 2024, while its operating loss (EBIT) widened from €2.8 million to €22.3 million. The group’s consolidated accounts ultimately recorded a net loss of €83 million, compared with a net loss of €29.3 million in the previous fiscal year. One positive sign in its financial position, however, was that net debt fell to €577.6 million, improving from €644.8 million in fiscal 2024.
Cautious consumer sentiment was also evident in other regions, although the declines were more moderate. Revenue in the Americas fell 8.7% year on year to €83.7 million (down 5.3% at constant exchange rates). Europe proved relatively resilient: revenue in the group’s home market of Italy fell 4.1% to €246.3 million, while revenue in the rest of Europe declined 3.2% to €238.8 million.
By brand, luxury footwear label Roger Vivier, for which Asia is a key market, saw the steepest decline. Revenue fell 14% to €203 million (down 10.9% at constant exchange rates). To turn its performance around, the group has begun a strategic adjustment aimed at strengthening Roger Vivier’s position in Asia while tapping growth opportunities in Western markets, including plans to open a Paris flagship store by the end of 2026.
The group’s core brand, Tod’s, recorded a 6.8% decline in revenue to €492.4 million (down 4.5% at constant exchange rates). Strong performance in apparel helped offset the decline to some extent.
Hogan generated revenue of €204 million, down 5.7% year on year. Fay recorded revenue of €61.7 million, down 1.8% year on year, although signs of recovery emerged in the final three months of the fiscal year.
Performance varied considerably by product category. Revenue from the group’s traditional core footwear business fell 10.7%, while leather goods and accessories declined 4.2%. Apparel grew 8.7% despite the broader downturn, benefiting mainly from the expansion of Tod’s apparel collections and becoming a key source of resilience for the group.
With the backing of French luxury group LVMH and its private equity firm L Catterton, Tod’s Group delisted from Euronext Milan in June 2024 and became a private company again. L Catterton currently holds approximately 36% of Tod’s Group through its subsidiary Crown Bidco. LVMH has retained its previous 10% stake, while the founding Della Valle family continues to hold a majority stake of 54%.
| Sources: Montenapo Daily, Modaes
| Image Credit: Brand’s official website
| Editor: Luxeplace
